Be it enacted by parliament in the fiftysixth year of the republic of india as follows. Way forward a handbook for economic zone development. Zimbabwe selects three locations for special economic zones. Special economic zones sezs have contributed to economic development in several countries, while being utterly unsuccessful in others. Since the special economic zone concept is relatively new in india, there are considerably less number of journals and ebooks in this field. Authority means the zimbabwe special economic zones authority. Page 1 national legislation doalosola united nations asdf exclusive economic zone act, 1984, act no. Suggested elements for designing effective economic zones 7. Article 25 a guangdong provincial special economic zones development company shall be set up to suit the expanding economic activities in the special zones. Special economic zones are intended to function as zones of rapid economic.
The sezs, earmarked as dutyfree enclaves, have a relaxed and business friendly policy regime, aimed at promoting rapid industrial development and employment generation. Your browser will redirect to your requested content shortly. This act is unique as it helps in backward and forward linkages of the economy. Many sezs offer a liberalized business climate and lower taxes and tariffs.
Issue special economic zones have potential to address many constraints facing investors and businesses in rwanda and support the achievement of key goals in edprs and vision 2020. The sez act provides for the following licences to be issued under the act. In the last six months, over 100 approvals have been granted for setting up sezs spread over 15 states and 2 union territories, taking the current tally to 117 sezs. A special economic zone sez generally refers to a geographically demarcated area within a country that offers special economic regulations and procedures to. Oecd general recommendations on the use of economic zones 6. Application for special economic zone operator perm. White paper international trade zone act ministry of finance. Special economic zones sezs chinapakistan economic. This paper is an attempt to understand why some zone schemes succeed and others fail in promoting economic growth. Special economic zones act, 2005 tax management india. Provided that where such a proposal has been received. The special economic zones act, 2005 has been enacted with the major objective of generation of additional economic activity, promotion of export of goods and services, investment from domestic and foreign sources and creation of employment opportunities.
Duration of goods or services in special economic zones. According to the special economic zones sezs act, 2005 416 kb pdf file that opens in a new window, units operating from within the sez will be eligible for 100% tax exemption for 5 years, 50% for the next 5 years, and 50% of the ploughed back export profits for the next 5 years. Progress, emerging challenges, and future directions. Cpec will not only benefit china and pakistan but will have positive impact on iran, afghanistan, india, central asian republic. Special economic zones act 2014draft 1 an act to repeal chapter 5, liberia industrial free zone authority, of title 30, public authorities law, liberian code of laws revised and to enact in lieu thereof a new chapter 5 to be known as the special economic zones act of 2014 preamble. Printing law of the sea national legislation doalos. Access both online and pdf versions of all ey global tax alerts. Licensed entities under the seza will be able to bene. Possible constraints to success of economic zones in mena 5. This act may be cited as the special economic zones act, 2015 and shall come. The ministry of finance, trade and the economic planning is proposing the following policy changes for the regulation of the international trade zone act 1995. They are established with an aim to purport development, promote rapid economic growth by providing tax and business incentives for attracting foreign technology along with investment.
Consideration of proposals for setting up of unit in a special economic zone. Introduction a special economic zonesez is an economic region in a country which is created for the purpose of promoting manufacturing exports and economic development through a wide variety of special exemptions, relating to taxes, quotas, cu. The special economic zones act, 2005 indian kanoon. Special economic zone act is a program introduced by the state for the development of the country. Despite three decades of research on economic zones, many important questions remain unanswered.
The special economic zones act, 2005 the second schedule see section 27 modifications to the income tax act, 1961 43 of 1961 a in section 10, a in clause 15, after sub. Regulations on special economic zones in guangdong province. Printing law of the sea national legislation doalosola. Maritime zone exclusive economic zone and continental shelf. Trends in zone development while special economic zones are often treated as an innovative topic in development economics, citywide free zones with goals and methods not too different from those employed in modern zones were in place in gibraltar and singapore as early as 1704 and 1819, respectively. Special economic zones sezs or industrial parks can be an effective instrument to promote industrialization if implemented properly in the right context, as shown in some of the emerging countries, particularly those in east asia. Application to ships and aircraft of new zealand defence. Interpretation in this act, unless the context otherwise requires agricultural zone means a special economic zone declared as such.
Economic zones act, 2005 sez act, which made several facilities and benefits available, several industrial houses have shown keen interest in setting up sezs and sez units. Special economic zone what is a sez indian economy. Special economic zone sez, chinese pinyin jingji tequ or wadegiles romanization chingchi techu, any of several localities in which foreign and domestic trade and investment are conducted without the authorization of the chinese central government in beijing. Operator licence corporate entity engaged in the management of a special economic zone. Sezs allow investors to operate under special conditions that are different from the rest of the economy and allow investors more privileges. Zimbabwe has selected three locations for setting up pilot special economic zones sezs as the country seeks to reawaken investor interest after a dearth in foreign direct investment, a government minister said yesterday. Chinapakistan economic corridor is a framework of regional connectivity. The federal government and provincial governments may establish special economic zones by themselves or in collaboration with private parties under various modes of collaboration including public.
However 30 years of experience have shown mixed results with many successful and. Since india has adopted the idea of the special economic zones from china it becomes pertinent to study the history of economic development in india and china. Development and implementation of special economic zones. An act to provide for the establishment of the zimbabwe special economic zone. A special economic zone sez is a geographical region that has economic laws more liberal than a countrys typical economic laws. An act to provide for the establishment of the zimbabwe special economic zones authority and to provide for the functions thereof. The government of maharashtra has adopted the sez policy for developing special economic zones in the state. Special economic zone board means the board of directors of an individual special economic zone entity appointed in terms of section 255. Part iitiie special economic zones 4declaration of special economic zones. Leading zone programs and direct economic impact 10 country no. Incorporated as a notforprofit foundation in 1971, and headquartered in geneva, switzerland, the forum is tied to no political, partisan or national interests. Designing economic zones for effective investment promotion.
Special economic zone or sez refers to a totally commercial area specially established for the promotion foreign trade. The world economic forum is an independent international organization committed to improving the state of the world by engaging business, political, academic and other leaders of society to shape global, regional and industry agendas. Whats so special about the special economic zones act. They are established with an aim to purport development, promote rapid economic growth by providing tax and business incentives for. A lot of factors influence the performance of special economic zones in a country e. Special economic zones are intended to function as zones of rapid economic growth by using tax and business. Special economic zones act chapter 1434 an act to provide for the establishment of the zimbabwe special economic zones authority and to provide for the functions thereof.
Procedure applicable on import or procurement of goods and services, their admission, and clearance of goods. The central government has enacted the sez act with the major objective of generation of additional economic activity, promotion of export of goods and services, investment from domestic and foreign sources and creation of employment opportunities. Sep 20, 2016 a special economic zone sez generally refers to a geographically demarcated area within a country that offers special economic regulations and procedures to entities which operate within the zone. The act will come into operation on 15th december, 2015. The exclusive economic zone shall not extend beyond 200 nautical miles from the baselines from which the breadth of the territorial sea is measured. There proceedings of the international multiconference of engineers and computer scientists 2014 vol ii, imecs 2014, march 12 14, 2014, hong kong isbn. Usually the goal is flourishment in foreign investment. Special economic zones act 16 of 2014 south african. This act is administered by the ministry for the environment. It is the declared policy of the government to translate into practical realities the following state policies and mandates in the 1987 constitution, namely. Provisions of incometax act, 1961 to apply with certain modification in relation to developers and entrepreneurs. Policy on development of special economic zones in south.
Responsibilities of provincial investment promotion authorities. Developer licence corporate entity engaged in developing and operating a special economic zone. Special economic zone chinese economics britannica. Exclusive economic zone and continental shelf environmental. Maritime zone exclusive economic zone and continental shelf order, 2014. Necessary offices shall be set up in the zhuhai and shantou special zones. The concept of sez is described by different countries of the world is no less than 19 different terms, such as free trade.
This act may be cited as the special economic zones act, 2015 and shall come into operation upon the expiry of ninety days from the date of its publication. Special economic zones open knowledge repository world. The main objectives of the sez act, 2005 8 include. Zimbabwe selects three locations for special economic. This act may be cited as the special economic zones act chapter 14. How can africa ensure success for special economic zones. Build economic and social capacity of the country, its individual regions and territories. Special economic zone sez, any of several localities in which foreign and domestic trade and investment are conducted without the authorization of the chinese central government in beijing. The gazette of india ministry of commerce and industry. Special economic zones rules, 2006 tax management india.
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